Methodology / FTSE
FTSE Shariah Global Equity Index Series
FTSE — as Akinda applies it. Balance-sheet based throughout, and the strictest on what counts as revenue.
Who writes it
Owner of the standard
FTSE Russell (Yasaar) writes and maintains this methodology, with screening by Yasaar.
Akinda is not affiliated with them and does not use their screening data. What Akinda applies is their published financial ratios, recomputed on Akinda's own extracted filings.
The screens
Screening rules
Every ratio below is measured against total assets, the balance-sheet total rather than a market value. The comparator matters: this methodology's own wording is reproduced exactly, so a < is not silently read as a ≤.
Non-compliant income
Rule
(interest + non-compliant activities income) ÷ revenue only — ≤ 5%
Variables: the only methodology whose denominator is revenue alone — interest income is not added back to it.
Field on the API: non_compliant_revenue_perc_ftse
Debt
Rule
debt ÷ total assets — < 33.333%
Field on the API: debt_ratio_perc_ftse
Cash / liquidity
Rule
(cash + interest-bearing items) ÷ total assets — < 33.333%
Field on the API: liquidity_ratio_perc_ftse
Receivables
Rule
(accounts receivable + cash) ÷ total assets — < 50%
Field on the API: receivables_ratio_perc_ftse
Business activity
What this methodology excludes
The base list, plus defense, hotels, cinema, music, and cannabis in any form.
Preferred shares and fixed-income instruments are excluded by instrument, whatever the company does.
Outcome
Verdict and review cadence
Verdict
Binary: HALAL / NOT HALAL
Field on the API: halal_status_ftse
Re-screened
Quarterly — March, June, September, December
Scope
What this screen covers
Akinda computes the ratios above, nightly, on its own extracted filings. Three boundaries are worth stating plainly:
- Index buffers and grace periods are not applied. This methodology's own buffer is ±5% relative over 2 quarters. Akinda publishes the raw-ratio result instead, so a verdict here can differ from a company's actual index membership.
- The business classification is Akinda's own, built from company filings — not the provider's dataset.
- Index membership, index weights and purification amounts are the index owner's to publish, not Akinda's.
Detail
Worth knowing
The only methodology whose income denominator is revenue alone — interest income is not added back.
What this page is, and is not
Akinda applies each methodology's published financial ratios. The business-activity classification is Akinda's own, built from company filings. It is not the index provider's own screening data. Akinda is not affiliated with, endorsed by, or licensed by AAOIFI, S&P Dow Jones Indices, FTSE Russell, MSCI or Yasaar.
These are raw-ratio verdicts, computed as if the stock were screened today. Index buffers and grace periods are not applied. A verdict here can therefore differ from a company's actual membership of an index.
AAOIFI is Akinda's primary methodology. The status, rating and ratios shown everywhere else on Akinda are AAOIFI.
The other four methodologies
Every screen Akinda runs, side by side, with the AAOIFI verdict the rest of the product publishes.